Business

Government plans to extend ERTE until September

Employers and unions will decide whether or not to accept the possibility of approving an extension of the ERTE until May 31; From this date, the government is already considering an automatic extension until next September.

BY RRHHDigital, 11:00 a.m. – January 19, 2021

After the last proposal presented to the negotiating table, the government waits for the social agents to give their approval to the extension of the ERTE until May 31, when a subsequent automatic extension of all procedures until September, date by which herd immunity should be obtained, taking into account the expected vaccination rate.

Automatic extension

The government is now proposing the extension of all ERTEs without the need for new administrative authorizations, in order to reduce management and bureaucratic costs. But how do you get there? To this end, the government intends to introduce a new automatic mechanism for switching between the ERTE obstacle and the ERTE limitation. Thanks to this contribution, companies will be able to move between the two types of ERTE without needing prior administrative authorization. In this sense, the government is also proposing to renew all the mechanisms currently in place for the protection of workers and businesses.

ERTE renewal, until September?

In this scenario, days after the last extension approved until January 31, and with 40% of Spanish companies currently experiencing financial problems, according to data from the Bank of Spain, companies continue to demand more economic support from the authorities. . However, it has already been announced that the government is not planning to approve more aid, so the only option at the moment is that the ERTE can be extended until next September if labor and professional organizations give their support. approval of this latest proposal.

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